All opinions are subject to modification and technical correction prior to official publication in the North Carolina Reports and North Car olina Court of Appeals Reports. In the event of discrepancies between the electronic version of an opinion and the print version appearing in the North Carolina Reports and North Carolina Court of Appeals Reports, the latest print version is to be consid ered authoritative.
Pensions and Retirement--overlapping judicial and executive
service
The Board of Trustees of the Teachers' and State Employees'
Retirement System of North Carolina (TSERS) did not err by
suspending plaintiff's benefits under the Consolidated Judicial
Retirement System of North Carolina (CJRS) where plaintiff was
appointed Chair of the Utilities Commission after retiring from
the judiciary. TSERS was created in 1941, CJRS was created in
1974, and the General Assembly eventually codified the
Retirement System in Chapter 35 of the General Statutes,
incorporating both TSERS (Article 1) and CJRS (Article 4).
N.C.G.S. § 135-52 mandates that the provisions of Article 1
affect the benefits of CJRS members who return to service, and
Article 1 prohibits simultaneous contribution to TSERS and
receipt from the Retirement System. Article 4 contains no
exception to that principle; N.C.G.S. § 135-71 addresses only
retired CJRS members returning as contributing members of CJRS.
Statutory amendments and the Board's long-standing administrative
interpretation strengthen this construction.
Justice ORR dissenting.
Appeal pursuant to N.C.G.S. § 7A-30(2) from the decision of
a divided panel of the Court of Appeals, 136 N.C. App. 671, 526
S.E.2d 486 (2000), affirming a judgment entered 29 March 1999 by
Cashwell, J., in Superior Court, Wake County. On 4 May 2000 the
Supreme Court granted discretionary review of additional issues.
Heard in the Supreme Court 13 September 2000.
Boyce & Isley, PLLC, by G. Eugene Boyce, Philip R. Isley,
and Laura B. Isley; and Schiller Law Firm, LLP, by Marvin
Schiller and David G. Schiller, for plaintiff-appellant.
Michael F. Easley, Attorney General, by Alexander McC.
Peters, Special Deputy Attorney General, for defendant-
appellees.
MARTIN, Justice.
Plaintiff served on the North Carolina Utilities Commission
(NCUC) from 1 January 1970 to 30 April 1975 and from 1 July 1977
through 17 August 1979. During his tenure at the NCUC, plaintiff
was a member of the Teachers' and State Employees' Retirement
System of North Carolina (TSERS).
Plaintiff served as a judge on the North Carolina Court of
Appeals from 29 August 1979 to 30 June 1994. During his tenure
at the Court of Appeals, plaintiff was a member of the
Consolidated Judicial Retirement System of North Carolina
(CJRS).
(See footnote 1)
His judicial retirement benefits vested in August 1984,
following five years of creditable service. Upon his retirement
from the judiciary in 1994, plaintiff applied for and received a
judicial service retirement allowance from the CJRS for the month
of July 1994.
In July 1994 the Governor of North Carolina appointed
plaintiff as Chair of the NCUC. As a result of this appointment,
plaintiff again received a monthly salary from the State of North
Carolina and again became a member of the TSERS. Plaintiff's
monthly CJRS retirement allowance was suspended from August 1994
through December 1996 during his service as Chair of the NCUC.
On 31 December 1996 plaintiff resigned from the NCUC, and his
CJRS retirement allowance was restored effective 1 January 1997. On 30 September 1997 plaintiff brought su
it against the
CJRS, the Board of Trustees of the TSERS (Board), and the State
of North Carolina on the ground that he was entitled to receive
his monthly retirement allowance under the CJRS while he was
earning a salary as Chair of the NCUC and contributing to the
TSERS. On 5 June 1998 an administrative law judge determined
that plaintiff's judicial retirement allowance was properly
suspended while he worked at the NCUC. On 4 August 1998 the
Board accepted that recommendation and entered its final agency
decision. On 29 March 1999 the trial court affirmed the final
agency decision and entered summary judgment in favor of
defendants.
On 7 March 2000, the Court of Appeals, in a split decision,
affirmed the trial court. Wells v. Consolidated Jud'l Ret. Sys.
of N.C., 136 N.C. App. 671, 526 S.E.2d 486 (2000). The Court of
Appeals held that the Board properly suspended plaintiff's
retirement allowance for the period of time he served as Chair of
the NCUC. Id. at 677, 526 S.E.2d at 491. The majority based its
decision on an interpretation of the interplay of several
statutes elaborating the TSERS and the CJRS. Id. at 673-77, 526
S.E.2d at 488-91. Judge Horton dissented on the grounds that the
restored to service provision in Article 1 of the Retirement
System applied only to retirees under the TSERS and could not be
applied to plaintiff, a retiree under the CJRS. Id. at 678, 526
S.E.2d at 491 (Horton, J., dissenting).
The General Assembly codified the Retirement System withinChapter 135 of the General Statutes of North Carolina.
Chapter 135, entitled Retirement System for Teachers and State
Employees; Social Security; Health Insurance Program for
Children, incorporates, among other things, both the TSERS in
Article 1 and the CJRS in Article 4. The General Assembly
enacted Article 1 in 1941 and Article 4 in 1974. Because this
case turns upon the interpretation of and interplay among
sections within Chapter 135, it is instructive to set out
preliminarily the provisions of the CJRS in Article 4 and the
TSERS in Article 1 relevant to our inquiry.
(See footnote 2)
At the time
plaintiff retired and received his first judicial retirement
check under the CJRS, Article 4 provided in pertinent part:
The retirement benefits of any person who becomes a
justice or judge on or after January 1, 1974, shall be
determined solely in accordance with the provisions of
this Article.
N.C.G.S. § 135-51(c) (1981). Also, section 135-71 of Article 4
provided at that time:
In the event that a retired former member should at any
time return to service as a justice or judge, his
retirement allowance shall thereupon cease and he shall
be restored as a member of the Retirement System.
N.C.G.S. § 135-71(a) (1981). At the time plaintiff's benefits
vested, Article 1 provided, in pertinent part:
Should a beneficiary who retired on an early or service
retirement allowance be restored to service for aperiod of time exceeding six calendar months, his
retirement allowance shall cease, he shall again become
a member of the Retirement System and he shall
contribute thereafter at the uniform contribution rate
payable by all members.
N.C.G.S. § 135-3(8)(c) (Supp. 1983).
Our review of the statutory scheme leads us to conclude that
the legislature anticipated the possibility that recipients under
the Retirement System might return to active employment on behalf
of the State of North Carolina. See N.C.G.S. § 135-3(8)(c)
(Supp. 1983); N.C.G.S. § 135-71(a) (1981). If a former member of
the TSERS is restored to service as an employee or teacher,
N.C.G.S. § 135-3(8)(c) provides for the cessation or suspension
of retirement benefits while the person contributes to the TSERS.
The retirement allowance of a former member of the CJRS who
returns to active judicial service is likewise suspended under
N.C.G.S. § 135-71.
The narrow question presented by this appeal is whether
plaintiff's monthly CJRS retirement allowance was properly
suspended during his active employment as Chair of the NCUC.
Stated alternatively, the question is whether a contributing
member of the TSERS can simultaneously draw a retirement
allowance from the CJRS. We affirm the Court of Appeals and hold
that the Board properly suspended plaintiff's retirement
allowance during his service as Chair of the NCUC.
Section 135-52 makes the provisions of Article 1 applicable
to the other articles in Chapter 135. N.C.G.S. § 135-52 (1981).
That section provides in relevant part as follows:
References in Article 1 of this Chapter to theprovisions of this Chapter shall not necessarily
apply to . . . Article [4]. However, except as
otherwise provided in this Article, the provisions of
Article 1 are applicable and shall apply to and govern
the administration of the Retirement System established
hereby. Not in limitation of the foregoing, the
provisions of G.S. 135-5(h), 135-5(n), 135-9, 135-10,
135-12 and 135-17 are specifically applicable to the
Retirement System established hereby.
N.C.G.S. § 135-52(a) (1981)(emphasis added). This section
mandates that the provisions of Article 1, including the
beneficiary return to service provision of N.C.G.S. §
135-3(8)(c), affect the benefits of CJRS members who return to
service as employees, except as otherwise provided by
Article 4. Id.
Article 1, section 135-3(8)(c) prohibits simultaneous
contribution into the TSERS and receipt from the Retirement
System. N.C.G.S. § 135-3(8)(c) (Supp. 1983). An examination of
Article 4 reveals no exception to that principle. Plaintiff
argues that section 135-71 provides such an exception. That
section contemplates only an individual's return to service as a
justice or judge. Section 135-3(8)(c), on the other hand,
refers to all returning beneficiaries. Beneficiary is
defined in section 135-1(6) as any person in receipt of a
pension, an annuity, a retirement allowance or other benefit as
provided by this Chapter. N.C.G.S. § 135-1(6) (1981) (emphasis
added). The legislature tailored the language of section 135-71
to address only retired CJRS members returning as contributing
members of the CJRS. In contrast, the language of section
135-3(8)(c) casts a wider net, applying broadly to all recipientsof Retirement System benefits under Chapter 135 who return as
contributors to the TSERS. N.C.G.S. § 135-3(8)(c) (Supp. 1983);
N.C.G.S. § 135-71 (1981). Plaintiff fits squarely into this
latter category.
Our interpretation of N.C.G.S. § 135-3(8)(c) is further
strengthened by review of amendments to that section since 1984,
when plaintiff's entitlement to a retirement allowance vested.
Later statutory amendments provide useful evidence of the
legislative intent guiding the prior version of the statute. See
Childers v. Parker's, Inc., 274 N.C. 256, 260, 162 S.E.2d 481,
484 (1968) (an amended version of a statute may not necessarily
be a departure from the old law but rather a clarification of
what was previously intended). The present version of N.C.G.S. §
135-3(8)(c), recodified as Article 1, Section 135-3(8)(d),
provides, in part, as follows:
Should a beneficiary who retired on an early or service
retirement allowance under this Chapter be restored to
service as an employee or teacher, then the retirement
allowance shall cease as of the first of the month
following the month in which the beneficiary is
restored to service and the beneficiary shall become a
member of the Retirement System and shall contribute
thereafter as allowed by law at the uniform
contribution payable by all members.
N.C.G.S. § 135-3(8)(d) (1999) (emphasis added). The addition of
the words under this Chapter as a qualifier to early or
service retirement allowance clarifies that this provision was
intended to apply to each of the articles within Chapter 135.
Relying on Judge Horton's dissent, plaintiff further argues
that an interpretation of N.C.G.S. § 135-3(8)(c) that covers
judges in Article 4 renders N.C.G.S. § 135-71 meaningless. Plaintiff argues that section 135-71, by its very terms, is an
exception to section 135-3(8)(c), specifically directed only at
members of the CJRS who return to service in a position included
in the Chapter. See Wells, 136 N.C. App. at 682, 526 S.E.2d at
494 (Horton, J., dissenting).
Section 135-71 was intended to, and does, apply to one
specification: when a retired member of the CJRS returns to
active membership in the CJRS. Section 135-71 therefore effects
a valid legislative purpose. The definitional precision of
section 135-71 leaves no room for the inclusion of judges who
elect to become contributing members of TSERS. Accordingly,
section 135-71 does not act as the type of exception contemplated
by section 135-52. Rather, N.C.G.S. § 135-3(8)(c) applies to
Article 4 and prevents plaintiff from drawing a retirement
allowance from the CJRS while contributing to the TSERS.
Plaintiff contends that the absence of N.C.G.S. §
135-3(8)(c) (designated as subsection (8)(d) in the 1994 version
of the statute) from the list of six statutory provisions
specifically referenced in N.C.G.S. § 135-52 indicates that the
legislature intended N.C.G.S. § 135-3(8)(c) not to apply to
Article 4. This interpretation is without merit because it
ignores the words not in limitation of, which indicate that the
list of specifically applicable provisions is not exclusive.
N.C.G.S. § 135-52.
Plaintiff further contends that application of N.C.G.S. §
135-3(8)(c) to CJRS recipients is inconsistent with the
requirement of N.C.G.S. § 135-51 that the retirement allowance of any judge be determined solely in accordance with the
provisions of Article 4. N.C.G.S. § 135-51(c). According to
plaintiff, this inconsistency provides an exception to section
135-52. We disagree. The suspension of a monthly retirement
allowance when a retiree again becomes a contributing member of
the Retirement System is not inconsistent with Article 4.
Service retirement benefits under the CJRS were, and still are,
determined in accordance with sections 135-58 and 135-71(b) of
Article 4. N.C.G.S. § 135-58 (1981 & 1999); N.C.G.S. § 135-71(b)
(1981 & 1999).
We emphasize that the agency established to administer the
retirement statutes has adhered to the same interpretation on
this matter since the 1970s, which was corroborated in the
deposition of Timothy Bryan, Deputy Director of the Retirement
Systems Division of the Department of State Treasurer. See,
e.g., Thornburg v. Consolidated Jud'l Ret. Sys. of N.C., 137 N.C.
App. 150, 150-51, 527 S.E.2d 351, 352 (2000) (observing
suspension of Judge Thornburg's CJRS retirement benefits by CJRS
officials during his service as Attorney General of North
Carolina from 1985 through 1992). The legislature is presumed to
act with full knowledge of prior and existing law. Polaroid
Corp. v. Offerman, 349 N.C. 290, 303, 507 S.E.2d 284, 294 (1998),
cert. denied, 526 U.S. 1098, 143 L. Ed. 2d 671 (1999). When the
legislature chooses not to amend a statutory provision that has
been interpreted in a specific way, we assume it is satisfied
with the administrative interpretation. Id. Nevertheless, it isultimately the duty of courts to construe administrative
statutes; courts cannot defer that responsibility to the agency
charged with administering those statutes. State ex rel. Util.
Comm'n v. Public Staff, 309 N.C. 195, 306 S.E.2d 435 (1983).
This does not mean, however, that courts, in construing
those statutes, cannot accord great weight to the administrative
interpretation, especially when, as here, the agency's position
has been long-standing and has been met with legislative
acquiescence. Polaroid Corp., 349 N.C. at 303, 507 S.E.2d at 294
(citing State v. Emery, 224 N.C. 581, 587, 31 S.E.2d 858, 862
(1944)); see Frye Reg'l Med. Ctr., Inc. v. Hunt, 350 N.C. 39, 45,
510 S.E.2d 159, 163 (1999) (holding that the interpretation of a
statute given by the agency charged with carrying it out is
entitled to great weight). Moreover, according great weight to
the administrative interpretation in the face of legislative
acquiescence is all the more warranted when, as in the instant
case, the subject is a complex legislative scheme necessarily
requiring expertise. See Thomas Jefferson Univ. v. Shalala, 512
U.S. 504, 512, 129 L. Ed. 2d 405, 415 (1994).
(See footnote 3)
In upholding the Board's long-standing administrativeinterpretation, we express no opinion concerning the wisdom of
the statutory prohibition on double-dipping -- as this public
policy determination was properly resolved by the General
Assembly. See In re Appeal of Philip Morris U.S.A., 335 N.C.
227, 231, 436 S.E.2d 828, 831 (1993) (whether to prohibit or
allow contingent fee arrangements for private tax auditors is a
public policy determination for the General Assembly), cert.
denied, 512 U.S. 1228, 129 L. Ed. 2d 2726 (1994); State v.
Ballance, 229 N.C. 764, 767, 51 S.E.2d 731, 733 (1949) ([A]
court is not concerned with what the law ought to be, but its
function is to declare what the law is.). In any event, if the
legislature chooses to permit double-dipping by those
individuals who receive judicial retirement benefits and who
return to active service as state employees, it may do so. See
Martin v. N.C. Housing Corp., 277 N.C. 29, 41, 175 S.E.2d 665,
671-72 (1970) (holding that the General Assembly is to establish
the public policy of this state). Indeed, it is clear from the
ratification and subsequent repeal of N.C.G.S. § 135-72 that the
legislature knows how to modify the administrative interpretation
of a retirement statute when it wishes to do so.
For the reasons stated, the Court of Appeals properly
affirmed the trial court's decision to affirm the Board's
suspension of plaintiff's CJRS benefits during his service as
Chair of the North Carolina Utilities Commission from 1 August
1994 through 31 December 1996.
AFFIRMED.No. 156A00 - Wells v. Consolidated Jud'l Ret. Sys. of N.C.
Justice ORR dissenting.
The majority in this case strains mightily to construct a
statutory rationale for depriving plaintiff, Judge Hugh Wells, of
his retirement benefits earned under the Consolidated Judicial
Retirement System. Because of his subsequent service as Chairman
of the North Carolina Utilities Commission, the majority
concludes that Judge Wells had to forgo receiving those benefits
during that period of time. In its effort to appease a purported
legislative intent to thwart such conduct, the majority ignores
the plain language of the applicable statutes, applies provisions
that have no bearing on benefits earned by plaintiff, and
constructs a veritable house of legal cards that is held up more
by hot air than substance.
In an overview, this case deals with two separate retirement
systems created by the General Assembly over thirty years apart.
The Teachers' and State Employees' Retirement System (TSERS)
was passed in 1941 and applied to those two categories of
individuals -- our public school teachers and state employees.
In 1974, the General Assembly created a separate retirement
system for members of the judiciary -- the Uniform Judicial
Retirement System, which was changed in 1985 to the Consolidated
Judicial Retirement System (CJRS). As would be expected, CJRS
has its own independent comprehensive statutory framework for its
application and implementation. TSERS was included in Chapter
135 of the General Statutes as Article 1, and years later, CJRS
was added to that Chapter as Article 4. As noted by the majority, plaintiff retired in 1994 after
fourteen years as a judge on the North Carolina Court of Appeals.
As such, he was eligible for and received retirement benefits
under CJRS. Upon being requested by Governor Hunt to chair the
North Carolina Utilities Commission, plaintiff accepted that
appointment and thereupon was deprived of his right to draw
retirement benefits that he had previously earned (including
substantial portions that he had contributed himself). The
majority says that such a result is mandated by the laws of this
state. I strongly disagree and therefore dissent.
The premise relied on by the majority to the effect that
N.C.G.S. § 135-52(a) under Article 4 and CJRS as set out below
mandates that the beneficiary return to service provision of
N.C.G.S. § 135-3(8)(c) applies to Judge Wells' case, sinks like
an anchor under close examination. The majority's statement is
totally conclusory and without foundation.
(a) References in Article 1 of this Chapter to the
provisions of this Chapter shall not necessarily
apply to this Article. However, except as otherwise
provided in this Article, the provisions of Article 1
are applicable and shall apply to and govern the
administration of the Retirement System established
hereby. Not in limitation of the foregoing, the
provisions of G.S. 135-5(h), 135-5(n), 135-9, 135-10,
135-12 and 135-17 are specifically applicable to the
Retirement System established hereby.
N.C.G.S. § 135-52(a) (1981 & 1999). This statute controls the
interaction between Article 4 and Article 1 but in no way stands
as controlling authority for the position taken by the majority.
N.C.G.S. § 135-52(a) provides that (1) use of the term this
Chapter in Article 1 does not necessarily apply to Article 4;(2) Article 1 merely governs the administration
i> of CJRS, and only
does so if Article 4 fails to provide otherwise; and (3) certain
sections of Article 1 dealing with administration of the plan are
applicable to CJRS, and by naming these sections specifically,
other sections dealing with administration are not precluded from
applying.
The effort by those in the majority to expand the reach and
scope of Article 1's interplay with Article 4 is critical to
their reasoning because they must rely on a provision in
Article 1 if they are to successfully deprive Judge Wells of his
benefits obtained under Article 4. The provision in question is
section 135-3(8)(c) of Article 1 (later amended and recodified as
section 135-3(8)(d)), which provides in pertinent part:
. . . .
§ 135-3. Membership.
The membership of this Retirement System shall be
composed as follows:
. . . .
(8) The provisions of this subsection (8) shall
apply to any member whose membership is
terminated on or after July 1, 1963 and who
becomes entitled to benefits hereunder in
accordance with the provisions hereof.
c. Should a beneficiary who retired on an
early or service retirement allowance be
restored to service for a period of time
exceeding six calendar months, his
retirement allowance shall cease, he
shall again become a member of the
Retirement System and he shall
contribute thereafter at the uniformcontribution rate payable by all
members.
N.C.G.S. § 135-3(8)(c) (Supp. 1983) (emphasis added).
Even if the effort to apply section 135-3(8)(c) to Article 4
could be done in some sort of general fashion, the specific
language of the section clearly precludes it from applying to any
benefits received under Article 4 and thus from applying to Judge
Wells. First and foremost, the introductory language in
subsection (8) categorically applies its terms to any member
entitled to benefits. Member is defined in Article 1 as any
teacher or State employee included in the membership of the
System as provided in G.S. 135-3 and 135-4. N.C.G.S. § 135-
1(13) (1981 & 1999). Thus, subsection (8) by its very terms does
not apply to someone with retirement benefits under CJRS but
instead applies only to those deriving benefits under TSERS. The
definition of Retirement System in N.C.G.S. § 135-1(22)
specifically limits this term to the Teachers' and State
Employees' Retirement System.
Secondly, the language in (8)(c) relied on by the majority
specifically applies to a beneficiary restored to service as an
employee or teacher. The word restored is defined as [t]o
put (someone) back in a former position. The American Heritage
Dictionary of the English Language 1538 (3d ed. 1992). Judge
Wells could not be restored as an employee or teacher because the
definition of employee in Article 1 specifically excludes
someone covered under CJRS, and Judge Wells was obviously not a
teacher. Thirdly, N.C.G.S. § 135-3(8)(c) does not apply because a
full reading of subsection (c) shows that the purpose of this
section is not to prevent a beneficiary like Judge Wells from
drawing the retirement benefits he earned under CJRS, after his
retirement from that system and while working for the Executive
Branch and contributing to TSERS. Instead, the purpose of
subsection (8) -- from before the time Judge Wells vested and
through the present -- is to calculate retirement benefits under
TSERS when someone restored under TSERS goes back into service
and then later re-retires. The fact that Judge Wells served
several years under TSERS while Chairman of the Utilities
Commission in no way affected any calculation of his benefits
earned under CJRS.
The majority makes several efforts to bolster its result.
They can be summarily disposed of as follows:
(1) The majority relies in part on the expansive definition
of beneficiary in N.C.G.S. § 135-1(6) to validate its enlarged
scope of application of N.C.G.S. § 135-3(8)(c). However,
Article 4 has its own definition of beneficiary in N.C.G.S. §
135-53(3), which includes only persons receiving benefits under
CJRS. Thus, this definition in Article 4 must prevail over the
definition in Article 1, and the Article 1 definition of
beneficiary does not apply to Judge Wells.
(2) The majority relies on the amendment to N.C.G.S. §
135-3(8)(c) in 1993, which added the language under this
Chapter. The majority says that this clarifies that the
provision was intended to apply to each of the articles withinChapter 135 and that Judge Wells was restored as an employee.
However, as previously noted, this section merely serves to
clarify the retirement benefits someone receives under TSERS,
after retiring under TSERS, coming back to work under TSERS, and
then retiring again under TSERS. There is no provision that
suggests the calculation of a judicial retirement allowance under
CJRS changes because of any later benefits earned under TSERS.
Likewise, as previously noted, Judge Wells was not restored to
TSERS because his retirement benefits were based on service under
CJRS.
(3) The majority also relies on Thornburg v. Consolidated
Jud'l Ret. Sys. of N.C., 137 N.C. App. 150, 527 S.E.2d 351
(2000), to support the proposition that the administrators of the
various retirement systems have interpreted the statutes
consistent with the majority's position. While Thornburg as a
case has no relevance to the issue before us, the opinion does
include a statement that Thornburg's benefits under CJRS were
suspended while Thornburg was Attorney General of North Carolina.
That the interpretation of this statute has been interpreted that
way for a number of years by the personnel administering the
system is not contested. What is contested is whether that
interpretation is correct. I conclude that it is not.
What is perfectly clear is that there is absolutely no
language in Article 1 or Article 4 that says someone going to
work under TSERS loses retirement benefits earned under CJRS
while so employed. Article 1 says you cannot retire from TSERSand go back to work under TSERS and still draw a retirement
benefit, N.C.G.S. § 153-3(8)(d) (1999); N.C.G.S. § 135-3(8)(c)
(Supp. 1983), and Article 4 says you cannot retire from CJRS and
go back to work under CJRS and draw a retirement benefit,
N.C.G.S. § 135-71 (1999). Nothing says, however, that you cannot
move from one retirement system to another and still draw a
retirement benefit previously earned.
This Court has stated numerous times that '[w]hen the
language of a statute is clear and unambiguous, there is no room
for judicial construction, and the courts must give [the statute]
its plain and definite meaning.' Smith Chapel Baptist Church v.
City of Durham, 350 N.C. 805, 811, 517 S.E.2d 874, 878 (1999),
quoting Lemons v. Old Hickory Council, BSA, Inc., 322 N.C. 271,
276, 367 S.E.2d 655, 658 (1988)). As a necessary corollary, the
doctrine of administrative deference has no application to a
clear and unambiguous statute. See Watson Indus. v. Shaw, 235
N.C. 203, 211, 69 S.E.2d 505, 511 (1952) (interpretation of
statute by agency charged with its enforcement entitled to
deference only in case of ambiguity); see also In re Total Care,
Inc., 99 N.C. App. 517, 520, 393 S.E.2d 338, 340, disc. rev.
denied, 327 N.C. 635, 399 S.E.2d 122 (1990).
In conclusion, whatever the General Assembly may have
intended either in the past or the present, it surely has failed
to specifically address by statute the scenario now before us.
How very simple to say that a person cannot draw a retirement
benefit from any retirement system enacted by the state whileworking for the state. As previously noted, the General Assembly
has specifically said that a person cannot draw benefits from
TSERS and go back to work under TSERS, and it has specifically
said that a person cannot draw benefits under CJRS and go back to
work under CJRS. If the General Assembly intended to prohibit
moving from one system to another and still draw retirement
benefits, it clearly could have said so, but the General Assembly
did not. The only relationship between Article 1 and Article 4
deals with the administration of the two distinct systems.
Otherwise, each retirement system is independent with different
definitions of terms and provisions governing the respective
operations. In fact, N.C.G.S. § 135-51(c) specifically says:
The retirement benefits of any person who becomes a justice or
judge, district attorney, or solicitor on and after January 1,
1974, or clerk of superior court on and after January 1, 1975,
shall be determined solely in accordance with the provisions of
this Article. N.C.G.S. § 135-51(c) (1999) (emphasis added).
On 30 June 1994, at the age of seventy-two, Judge Hugh Wells
retired after a distinguished career of public service including
fourteen years as a judge on the North Carolina Court of Appeals.
Having done so, he could have easily retired to his home in
Shelby, done nothing, and still draw a monthly retirement income
of $5,182, a substantial portion of which he contributed from his
salary over the years. He also could have drawn additional
salary by becoming of counsel to a law firm, by teaching at a
private law school, or by engaging in any other type of business
in the private sector and still continue to draw his retirementbenefits. However, heeding the request of Governor Hunt, Judge
Wells opted instead to continue working in public service as
Chairman of the North Carolina Utilities Commission, despite a
steadily debilitating fight with Parkinson's disease. His salary
in this new position was $6,781 per month.
Judge Wells served as Chairman of the Utilities Commission
from July of 1994 until December of 1996. As a result, the
practical effect of suspending his judicial retirement benefits
for that period of two and a half years is that Judge Wells
worked full-time for our state in a challenging and difficult
position for a net increase in income of less than $1,600 per
month over what he could have drawn in retirement income back
home relaxing in Shelby. If this is the public policy intended
by the legislature, interpreted by the bureaucracy, and endorsed
by the majority of this Court, then I find it a poor policy and
of little, if any, benefit to the public. The broad result of
such a policy is to penalize a public servant of our state
willing to move from one branch of our government to another
under entirely distinct and separate retirement systems while
imposing no such penalty on any other person coming to work in
state government with retirement benefits from another state, the
federal government, or private industry. All those persons could
serve as Chairman of the Utilities Commission without loss of
retirement benefits -- but, according to the majority, Judge Hugh
Wells could not. Judge Wells died on 4 December 2000, having
drawn his full judicial retirement for only four years, despite
having contributed to the Judicial Retirement System for fourteenyears. His commendable service to this state was dutifully noted
at his passing. It is now dutifully noted that the retirement
benefits he earned and paid for in part will not be paid because
he heeded the request of the Governor of this state and chose to
continue serving his fellow North Carolinians after retiring from
the judiciary.
The majority has misconstrued the law of our state and
imputed a bad public policy to the General Assembly. Therefore,
I dissent.
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